PhilamPlans’ trust funds up

Industry leader PhilamPlans registered a 19.55-percent growth in its trust funds or from P4.3 billion reported in end December 2001 to P5.1 billion in April this year.

Trust funds is money set aside from a portion of the premium payments of its clients. These are assigned to a trustee bank to serve as reserves for future claims as well as investment funds.

Trust funds grew by 49 percent from P2.8 billion in end 2000 to P4.2 billion in end December 2001.

Philam Plans has tapped the services of four banks to serve as its trustee banks. There are the Bank of the Philippine Islands (BPI), Equitable PCI Bank, Deutshe Bank AG Manila, and sister-company Philam Savings Bank.

Philam Plans president and chief executive officer Eliseo Dizon Jr. said that the pre-need company achieved the high levels of trust funds due to its prudent approach as well as its strong commitment to deliver promptly services to its clientele.

"We made it our policy not merely to comply with SEC (Securities and Exchange Commission) rules to meet our actuarial reserve liabilities but also fill in additional cash if needed based on our own actuarial valuations," Dizon said in a statement. "Our trust fund reserves, although not the biggest in the industry, is the largest for a company of our age."